Key Points:
- Real average hourly earnings are hourly earnings adjusted for inflation. They are one measure of real wages, which represent the economic return to work.
- Despite average hourly earnings trending up, wages are still down after adjusting for inflation.
- The Consumer Price Index (CPI) rose 0.2% in October from September and is up 2.6% in the last year.
- Real average hourly earnings have fallen from $35.97 in January 2021 to $35.46 in October 2024, a 1.4% decline.
- Overall, prices have increased 20.4% since Biden and Harris took office in January 2021.